Safe Withdrawal Rate Calculator

Use our free safe withdrawal rate calculator to determine how much you can safely withdraw from your retirement portfolio. Compare standard and conservative withdrawal rates and see your required corpus.

Financial

Currency

Total Retirement Corpus

Annual Expenses in Retirement

Expected Retirement Length (years)

years

Expected Annual Return in Retirement (%)

Expected Inflation Rate (%)

Formula

Determine a safe withdrawal rate for your retirement. Compare the standard 4% rule with a more conservative 3% approach, and find your sustainable rate based on expected real returns after inflation.

4% Rule: Withdrawal = Corpus × 4%; Real Return = (1+R)/(1+i)-1

Percentage: The percentage value you want to apply

Number: The original number or value

Result: The calculated result

How It Works

1Enter your total retirement corpus and expected annual expenses.
2Input your expected retirement length and portfolio return rate.
3Set your expected inflation rate to calculate real returns.
4Compare the 4% rule, 3% rule, and sustainable withdrawal rate.
5See the required corpus needed to cover your expenses.

Examples

$1M corpus, $40k expenses, 30 years, 5% return, 3% inflation

1.Current withdrawal rate = $40k/$1M = 4%
2.4% rule says: safe = $40,000
3.Real return = (1.05/1.03)-1 = 1.94%
4.Sustainable rate ≈ 1.94% (real return)

Result: $40,000

Frequently Asked Questions

The 4% rule is based on historical US data (Bengen study, Trinity study). Many experts now recommend 3-3.5% for longer retirements (30+ years) or conservative portfolios. It remains a useful starting point.

There is no perfectly safe rate. Lower rates (2-3%) significantly reduce the risk of running out of money. Consider flexible withdrawal strategies that adjust based on portfolio performance.

Inflation reduces your real return. If your portfolio returns 5% and inflation is 3%, your real return is only about 1.94%. Your sustainable withdrawal rate should be based on real, not nominal returns.

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Safe Withdrawal Rates Explained

CalculateMe Team

Last updated: 2026-07-16

How It Works

1Enter your total retirement corpus and expected annual expenses.

2Input your expected retirement length and portfolio return rate.

3Set your expected inflation rate to calculate real returns.

4Compare the 4% rule, 3% rule, and sustainable withdrawal rate.

5See the required corpus needed to cover your expenses.

Frequently Asked Questions

There is no perfectly safe rate. Lower rates (2-3%) significantly reduce the risk of running out of money. Consider flexible withdrawal strategies that adjust based on portfolio performance.

Safe Withdrawal Rate Calculator

Formula

How It Works

Examples

$1M corpus, $40k expenses, 30 years, 5% return, 3% inflation

Frequently Asked Questions

Is the 4% rule still valid?

What withdrawal rate is safest?

How does inflation affect my safe withdrawal rate?

Related Calculators

Related Articles

Safe Withdrawal Rate Calculator

Formula

How It Works

Examples

$1M corpus, $40k expenses, 30 years, 5% return, 3% inflation

Frequently Asked Questions

Is the 4% rule still valid?

What withdrawal rate is safest?

How does inflation affect my safe withdrawal rate?

Related Calculators

Related Articles